Hapag-Lloyd
Encyclopedia
Hapag-Lloyd is a German
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...

 transportation company comprising a cargo container
Containerization
Containerization is a system of freight transport based on a range of steel intermodal containers...

 shipping
Shipping
Shipping has multiple meanings. It can be a physical process of transporting commodities and merchandise goods and cargo, by land, air, and sea. It also can describe the movement of objects by ship.Land or "ground" shipping can be by train or by truck...

 line, Hapag-Lloyd AG, which in turn owns other subsidiaries such as Hapag-Lloyd Ships and a cruise line, Hapag-Lloyd Cruises which is now integrated into TUI AG, Hanover. It was formed in 1970 as a merger of two 19th century companies, Hapag, which dated from 1847, and Norddeutscher Lloyd (NDL) or North German Lloyd (NGL), which was formed in 1856. Hapag-Lloyd was acquired in 1998 by TUI AG
TUI AG
TUI AG is a German multinational travel and tourism company headquartered in Hanover. Until 2001 it was an industrial and transportation company named Preussag AG, which in the mid-1990s decided to reinvent itself as a tourism, shipping, and logistics company...

 (Hanover) and became its fully owned subsidiary in 2002. In 2009, TUI sold a majority stake to a group of private investors.

History

Hapag-Lloyd was formed in 1970 through a merger of Hamburg America Line (HAPAG) and the North German Lloyd.

HAPAG

The Hamburg-Amerikanische Packetfahrt-Aktien-Gesellschaft
Hamburg America Line
The Hamburg Amerikanische Packetfahrt Actien Gesellschaft was a transatlantic shipping enterprise established in Hamburg, Germany during...

 for shipping across the Atlantic Ocean
Atlantic Ocean
The Atlantic Ocean is the second-largest of the world's oceanic divisions. With a total area of about , it covers approximately 20% of the Earth's surface and about 26% of its water surface area...

 was founded in Hamburg. In 1912, Hapag built the first of their "Big Three" ocean liners; the Imperator
SS Imperator
SS Imperator was an ocean liner built for the Hamburg Amerikanische Packetfahrt Actien Gesellschaft launched in 1912. She was the first of a trio of successively larger Hamburg America ships that included and built by the line for transatlantic passenger service...

, followed by her sister Vaterland
SS Leviathan
SS Leviathan, originally built as SS Vaterland, was an ocean liner which regularly sailed the North Atlantic briefly in 1914 and from 1917 to 1934...

. The third sister, Bismarck, was under construction at the outbreak of World War I
World War I
World War I , which was predominantly called the World War or the Great War from its occurrence until 1939, and the First World War or World War I thereafter, was a major war centred in Europe that began on 28 July 1914 and lasted until 11 November 1918...

 and was completed after the war for White Star Line
White Star Line
The Oceanic Steam Navigation Company or White Star Line of Boston Packets, more commonly known as the White Star Line, was a prominent British shipping company, today most famous for its ill-fated vessel, the RMS Titanic, and the World War I loss of Titanics sister ship Britannic...

 as the Majestic. These were the first liners to exceed 50,000 gross tons and 900 feet in length.

During World War I
World War I
World War I , which was predominantly called the World War or the Great War from its occurrence until 1939, and the First World War or World War I thereafter, was a major war centred in Europe that began on 28 July 1914 and lasted until 11 November 1918...

, the majority of Hapag's fleet of 175 ships was wiped out, and most of the surviving ships (including the "Big Three") had to be turned over to the winning side as war reparations. After war's end, Hapag rebuilt its fleet with much smaller ships than before the war, but their fleet was again mostly wiped out during World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...

, with surviving ships turned over to allied powers.

North German Lloyd

Norddeutscher Lloyd (NDL) was formed in 1856 in the City-State of Bremen, offering passenger and cargo transportation between Bremen and New York, with an emphasis on emigration to the United States. Service started in June with the Bremen, the first of three steamships, and the company established its American base at Hoboken, New Jersey
Hoboken, New Jersey
Hoboken is a city in Hudson County, New Jersey, United States. As of the 2010 United States Census, the city's population was 50,005. The city is part of the New York metropolitan area and contains Hoboken Terminal, a major transportation hub for the region...

. NDL eventually built a large fleet of ships that carried many thousands of emigrants westwards, with a peak of 240,000 passengers across the Atlantic in 1913 alone.

The outbreak of World War I
World War I
World War I , which was predominantly called the World War or the Great War from its occurrence until 1939, and the First World War or World War I thereafter, was a major war centred in Europe that began on 28 July 1914 and lasted until 11 November 1918...

 resulted in the internment of its 135 vessel fleet at Hoboken, which status was changed to confiscation when the USA entered the war in 1917. Likewise, its Hoboken base was confiscated, and turned over to the US Navy, which used it as a transshipping point for the duration.

Operations were resumed in 1922, when NDL was able to purchase its former base from the United States Alien Property Administrator. NDL launched a new Bremen
SS Bremen (1929)
The SS Bremen was a German-built ocean liner constructed for the Norddeutscher Lloyd line to work the transatlantic sea route. The Bremen was notable for her bulbous bow construction, high-speed engines, and low, streamlined profile. At the time of her construction, she and her sister ship were...

and Europa in 1929-1930.

At the start of World War II, NDL repeated the World War I experience, with its fleet again being confiscated when the US entered the war in 1941. The lone exception was the Bremen, which raced across the Atlantic, and achieved protection at Murmansk
Murmansk
Murmansk is a city and the administrative center of Murmansk Oblast, Russia. It serves as a seaport and is located in the extreme northwest part of Russia, on the Kola Bay, from the Barents Sea on the northern shore of the Kola Peninsula, not far from Russia's borders with Norway and Finland...

 in 1939, later moving on to her namesake city where she remained for the duration of the war.

Passenger service resumed in 1954 with the , formerly the Swedish American Line
Swedish American Line
Swedish American Line was a passenger and cargo shipping line. It was founded in December 1914 under the name Rederiaktiebolaget Sverige-Nordamerika, beginning ocean liner service from Gothenburg to New York in 1915...

's Gripsholm. Later two other second-hand ships, (formerly Pasteur) and (formerly Swedish American Line's Kungsholm), were purchased.

Service continued as before, but it was decided that there were too many competitors in a transportation environment where the airliner was taking the most frequent customers away. This resulted in NDL’s merger with the Hamburg-America Line in 1970.

NDL attained several speed records over the years. Among them, was the record for the run between Southampton
Southampton
Southampton is the largest city in the county of Hampshire on the south coast of England, and is situated south-west of London and north-west of Portsmouth. Southampton is a major port and the closest city to the New Forest...

 and New York of eight days in 1881, which was set by the Elbe, and held until 1900; and the record for the fastest transatlantic crossing set by the new Bremen in 1929 (see Blue Riband
Blue Riband
The Blue Riband is an unofficial accolade given to the passenger liner crossing the Atlantic Ocean in regular service with the record highest speed. The term was borrowed from horse racing and was not widely used until after 1910. Under the unwritten rules, the record is based on average speed...

).

Hapag-Lloyd

Hapag and NGL continued to compete until establishing a joint-venture container line in 1968 in order to share the huge investments related to the containerisation of their fleets. Both companies finally merged on September 1, 1970 under the name Hapag-Lloyd.

Hapag-Lloyd was acquired in 1998 by TUI AG
TUI AG
TUI AG is a German multinational travel and tourism company headquartered in Hanover. Until 2001 it was an industrial and transportation company named Preussag AG, which in the mid-1990s decided to reinvent itself as a tourism, shipping, and logistics company...

 (Hanover
Hanover
Hanover or Hannover, on the river Leine, is the capital of the federal state of Lower Saxony , Germany and was once by personal union the family seat of the Hanoverian Kings of Great Britain, under their title as the dukes of Brunswick-Lüneburg...

), a tourism conglomerate, and became its fully owned subsidiary in 2002. In the course of the integration into TUI AG, all tourism related activities such as the charter airline and travel agencies were transferred to TUI AG. A retrenchment from that position through an offering of a minority of Hapag-Lloyd's shares on the stock market was planned in 2004. As part of that process, its business units other than the container line and cruise line were planned for divestiture.

In 2008 TUI announced an intention to sell its entire stake in Hapag-Lloyd shipping activities before the end of that year. Industry speculation predicted a sale price of approximately $US5.9 billion.

Airline Activities

Hapag-Lloyd founded the charter airline Hapag-Lloyd Flug in 1972, buying a few Boeing 727
Boeing 727
The Boeing 727 is a mid-size, narrow-body, three-engine, T-tailed commercial jet airliner, manufactured by Boeing. The Boeing 727 first flew in 1963, and for over a decade more were built per year than any other jet airliner. When production ended in 1984 a total of 1,832 aircraft had been produced...

s to fly its cruise passengers from Germany to the cruises' ports of call. The airline eventually added some regular passenger flights as well. Hapag-Lloyd Flug used the IATA code HF and became a directly owned subsidiary of TUI AG in 1999.

In 2002 TUI AG initiated Hapag-Lloyd Express (HLX), a low-fare, high-frequency airline. However this eponymous company was never owned by Hapag-Lloyd.

Since their merger in July 2007 both airlines trade as TUIfly and use the IATA code X3.

CP Ships Limited

On 21 August 2005, TUI AG agreed to acquire CP Ships Limited
CP Ships
CP Ships was a large Canadian container shipping company, prior to being taken over by Hapag Lloyd in late 2005. CP Ships had its head office in the City of Westminster in London and later in the City Place Gatwick development on the property of London Gatwick Airport in Crawley, West Sussex.The...

 for
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...

1.7 billion (US$2.0 billion) in cash. The deal which was approved by the boards of both CP Ships, TUI , and the Shareholders has been successful. It has now made the combined fleet the fifth largest by capacity in the worldwide container shipping market. In 2006 the CP Ships name disappeared for good.

Hapag-Lloyd Global Services Pvt. Ltd

Hapag Lloyd Global Services Pvt. Ltd. better known as the Global Service Center or GSC located in India with offices in Mumbai and Chennai has been doing some critical work for the Hapag Lloyd global organization.


GSC Mission Statement
"To be an adaptable organization, demonstrating excellence in; corporate governance, process management and human capital development, in an inclusive environment, which encourages learning, growth and continual improvements, within the Hapag-Lloyd corporate framework."

Hapag-Lloyd Cruises ships

- Leaving the fleet in 2012 to become Hamburg for Plantours and is to be replaced by Columbus 2
MS Insignia
MS Insignia is an R class cruise ship, owned and operated Oceania Cruises. She was built in 1998 by the Chantiers de l'Atlantique shipyard in St...


Future Fleet

Ship renamed Planned delivery date Currently Gross Tonnage
Gross tonnage
Gross tonnage is a unitless index related to a ship's overall internal volume. Gross tonnage is different from gross register tonnage...

 
Columbus 2
MS Insignia
MS Insignia is an R class cruise ship, owned and operated Oceania Cruises. She was built in 1998 by the Chantiers de l'Atlantique shipyard in St...

April 2012 MS Insignia
MS Insignia
MS Insignia is an R class cruise ship, owned and operated Oceania Cruises. She was built in 1998 by the Chantiers de l'Atlantique shipyard in St...

30,000 GT To be chartered for two years which is until 2014.
Europa 2 April 2013 Going to be a newly build 39,500 GT Not going to be officially owned by Hapag-Lloyd but is being chartered for 12 years. The consortium
Consortium
A consortium is an association of two or more individuals, companies, organizations or governments with the objective of participating in a common activity or pooling their resources for achieving a common goal....

 of General Electric
General Electric
General Electric Company , or GE, is an American multinational conglomerate corporation incorporated in Schenectady, New York and headquartered in Fairfield, Connecticut, United States...

 Energy's Converteam
Converteam
Converteam was an electrical engineering company based in France, and a former division of Alstom. It is now part of General Electric-History:...

 and Rolls-Royce
Rolls-Royce plc
Rolls-Royce Group plc is a global power systems company headquartered in the City of Westminster, London, United Kingdom. It is the world’s second-largest maker of aircraft engines , and also has major businesses in the marine propulsion and energy sectors. Through its defence-related activities...

 has been awarded a contract from STX Europe to supply Mermaid podded electric propulsion systems for EUROPA 2.

External links

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